NRF Report Finds Organized Retail Crime Growing

A recent NRF survey shows retailers think organized crime is becoming more troublesome than ever before. According to NRF's annual Organized Retail Crime Survey, 96 percent of the 125 retail companies surveyed say their company has been the victim of organized retail crime in the past year. That's up from 94.5 percent last year. In addition, 87.7 percent say organized retail crime has grown over the past three years in the United States.

"What this tells us is that as retailers and law enforcement become more aware of and more proactive in pursuing organized retail crime gangs, criminals have become more desperate and brazen in their efforts, stopping at nothing to get their hands on large quantities of merchandise,” said Rich Mellor, NRF Vice President of Loss Prevention. “Selling this stolen merchandise is a growing criminal enterprise and retailers must remain vigilant as this is an issue that involves everyone's cooperation when it comes to protecting retailer's assets, including their valued store associates and customers."

However, this year more companies believe law enforcement is aware of an understands the severity and complexity of the issue (40 percent in 2012 vs. 32.3 percent in 2011). More than half (54.4 percent) say top management at their company is aware of the problems associated with organized retail crime. 

Increase in violence and cargo theft pose problems for retailers

Cargo theft continues to grow at an alarming rate, posing huge problems for retailers and their distribution centers. On average, 52.1 percent of companies say they have been a victim of cargo theft in the past 12 months, up from 49.6 percent last year. A significantly higher percent of companies this year said cargo theft occurs mostly en route from the distribution center to the store (68.1 percent vs. 57.4 percent last year). Four in 10 (43.5 percent) say these incidents also occur en route from manufacturer to distribution center and 15.9 percent say they happen at the distribution center.

The survey also indicates a growing trend in the level of violence retailers see when organized criminal gangs are apprehended (15 percent of incidents vs. 13 percent in 2011). Retailers grappling with these violent acts also report that they believe more ORC offenders are engaged in drug activity. Nearly half (49 percent) of respondents estimate drugs and drug activity are linked to organized retail crime incidents.

When asked what new trends in organized retail crime they have noticed in the past year, retailers cited familiar issues involving the economy, returned stolen merchandise, gift card fraud, and increases in violent activity upon apprehension. However, new to the list of trends this year were specific references to 1.) digital receipt fraud; 2.) increased smash and grab incidents; and 3.) collusion with street gangs.

“Though retailers continue to make great strides in their fight against organized retail crime, sophisticated criminals with unending opportunities and anonymous outlets to sell their stolen merchandise are proving to be quite challenging for both retailers and law enforcement agencies working to combat this issue,” said NRF Senior Asset Protection Advisor Joe LaRocca. “With the types of organized retail crimes changing in severity and scope every day, and cargo theft and violent instances becoming more troubling, retailers are constantly on high alert.”

Baltimore and Orange County, CA, added to top 10 cities for organized retail crime

Organized retail crime gangs still wreak the most havoc in the same parts of the country, but a few new additions give credence to the growing problem retailers are reporting in this year’s survey. The top 10 locations in the United States that retailers say have the most criminal activity are (in alphabetical order):

• Atlanta
• Baltimore/Washington DC
• Chicago
• Dallas
• Houston, TX
• Los Angeles/Orange County, CA
• New York
• Miami
• Phoenix, AZ
• San Francisco/Oakland, CA

Federal legislation still needed to combat growing problem

For years, retailers and other vested parties have worked together to tackle organized retail crime. These partnerships include regional groups and associations who host meetings to share intelligence and work with local, state and federal law enforcement agencies. Even with the success of these partnerships organized retail crime remains a Federal issue because it crosses state lines. NRF strongly believes that organized retail crime must be addressed through Federal legislation, by amending the Federal Criminal Code to effectively address the organized and serious nature of this issue and, be properly defined as a federal crime with appropriate sentencing guidelines as well as providing Federal law enforcement the resources needed to combat this crime.

Featured

  • The Key to Wellbeing in the Office

    A few years ago, all we saw in the news was the ‘great resignation.’ Now we have another ‘great’ to deal with. According to CBRE, 2023 was the start of the ‘great return’ as office workers returned to their normal offices after working from home. The data shows that two-thirds of all U.S office buildings were more than 90% leased as of Q2 2023. Read Now

  • Failed Cybersecurity Controls Costing U.S. Businesses $30 Billion Yearly

    Panaseer recently released ControlWatch and the Continuous Controls Battle: Panaseer 2025 Security Leaders Report examining the cost of cybersecurity control failures and the impact of growing personal liability for security failings on security leaders. The report analyzes the findings of a survey of 400 security decision makers (SDMs) across the US and UK. It shows that security leaders feel under increasing pressure to provide assurances around cybersecurity, exposing them to greater personal risk – yet many lack the data and resources to accurately report and close cybersecurity gaps. Read Now

  • The Business Case for Video Analytics: Understanding the Real ROI

    For security professionals who may be hesitant to invest in video analytics, now's the time to reconsider. In a newly released Omdia report commissioned by BriefCam (now Milestone Systems), the research firm uncovered a compelling story: more than 85% of North American and European organizations that use video analytics achieve a return on investment within just one year. The study, which surveyed 140 end users across multiple industries, demonstrates that security technology is no longer just for security — it's a cross-organizational tool that delivers measurable business value far beyond traditional safety applications. Read Now

  • Survey: 54% of Organizations Cite Technical Debt as Top Hurdle to Identity System Modernization

    Modernizing identity systems is proving difficult for organizations due to two key challenges: decades of accumulated Identity and Access Management (IAM) technical debt and the complexity of managing access across multiple identity providers (IDPs). These findings come from the new Strata Identity-commissioned report, State of Multi-Cloud Identity: Insights and Trends for 2025. The report, based on survey data from the Cloud Security Alliance (CSA), highlights trends and challenges in securing cloud environments. The CSA is the world’s leading organization dedicated to defining standards, certifications, and best practices to help ensure a secure cloud computing environment. Read Now

Featured Cybersecurity

Webinars

New Products

  • HD2055 Modular Barricade

    Delta Scientific’s electric HD2055 modular shallow foundation barricade is tested to ASTM M50/P1 with negative penetration from the vehicle upon impact. With a shallow foundation of only 24 inches, the HD2055 can be installed without worrying about buried power lines and other below grade obstructions. The modular make-up of the barrier also allows you to cover wider roadways by adding additional modules to the system. The HD2055 boasts an Emergency Fast Operation of 1.5 seconds giving the guard ample time to deploy under a high threat situation. 3

  • AC Nio

    AC Nio

    Aiphone, a leading international manufacturer of intercom, access control, and emergency communication products, has introduced the AC Nio, its access control management software, an important addition to its new line of access control solutions. 3

  • ResponderLink

    ResponderLink

    Shooter Detection Systems (SDS), an Alarm.com company and a global leader in gunshot detection solutions, has introduced ResponderLink, a groundbreaking new 911 notification service for gunshot events. ResponderLink completes the circle from detection to 911 notification to first responder awareness, giving law enforcement enhanced situational intelligence they urgently need to save lives. Integrating SDS’s proven gunshot detection system with Noonlight’s SendPolice platform, ResponderLink is the first solution to automatically deliver real-time gunshot detection data to 911 call centers and first responders. When shots are detected, the 911 dispatching center, also known as the Public Safety Answering Point or PSAP, is contacted based on the gunfire location, enabling faster initiation of life-saving emergency protocols. 3